The number of confirmed Covid-19 cases in Nigeria rose to 49,068 as the Nigeria Center for Disease Control (NCDC) reports 298 new cases in Nigeria. Global confirmed cases now stand at 21.83 million. The National Bureau of Statistics (NBS,) published the Q2 2020 Labour Statistics report, which stated that Nigeria’s unemployment rate moved up to 27.1% in Q2 2020 from 23.1% in Q3 2018.
Bonds and Treasury Bills
The FGN bonds secondary market ended the week bearish as investors anticipate new supply from this week’s PMA. Thus, the average yield expanded by 4bps from 7.81% it traded the previous week to 7.85%. From the August 2020 FGN Bond circular released by the Debt Management Office (DMO), FGN Bond PMA is scheduled to hold this Wednesday, 19th August, 2020. The DMO is offering instruments worth N150 billion through re-openings of the 12.50% JAN 2026, 12.50% MAR 2035, 9.80% JUL 2045 and 12.98% MAR 2050 bonds. The Treasury Bills market closed bullish as the average yield contracted by 14bps from 1.71% to close the week at 1.57%. The Open Market Operations (OMO) segment also closed bullish as average yield contracted by 5bps to close the week at 4.01% from 4.06% it closed at the previous week.
Oil prices retracted on Friday after a brief rally on worries that demand will rise slower than expected from fresh Covid-19 pandemic lockdowns, while rising supply also overshadowed optimism over falling crude and fuel inventories. Oil prices has also recovered from lows touched in April, when WTI briefly turned negative. Still, a rise in the number of novel coronavirus infections has limited gains.
Ten Companies released their results last week; as Northern Nigeria Flour Mills Plc emerged as the firm with the highest growth in revenue for last week with a 113.01% growth in revenue from N4.15 billion to N8.84 billion in its audited results for the period ended March 31, 2020. On the other hand, Tripple Gee and Company Plc recorded the least growth with a 64.23% decline in revenue from N347.35 million to N124.24 million in its Q1 Unaudited result for the period ended 30th June, 2020. Global Economic Update Global equities were broadly positive on improving economic data, rising hopes over a COVID-19 vaccine and general optimism about a global economic recovery. Consequently, US (DJIA: +1.7%; S&P: +0.7%) stocks were set to close the week higher.